omy Somalia

Economy - overview:
Somalia's economic fortunes are being driven by its deep political
divisions. The northern area has declared its independence as
"Somaliland"; the central area, Puntland, is a self-declared
autonomous state; and the remaining southern portion is riddled with
the struggles of rival factions. Economic life continues, in part
because much activity is local and relatively easily protected.
Agriculture is the most important sector, with livestock normally
accounting for about 40% of GDP and about 65% of export earnings,
but Saudi Arabia's recent ban on Somali livestock, because of Rift
Valley Fever concerns, has severely hampered the sector. Nomads and
semi-nomads, who are dependent upon livestock for their livelihood,
make up a large portion of the population. Livestock, hides, fish,
charcoal, and bananas are Somalia's principal exports, while sugar,
sorghum, corn, qat, and machined goods are the principal imports.
Somalia's small industrial sector, based on the processing of
agricultural products, has largely been looted and sold as scrap
metal. Despite the seeming anarchy, Somalia's service sector has
managed to survive and grow. Telecommunication firms provide
wireless services in most major cities and offer the lowest
international call rates on the continent. In the absence of a
formal banking sector, money exchange services have sprouted
throughout the country, handling between $200 million and $500
million in remittances annually. Mogadishu's main market offers a
variety of goods from food to the newest electronic gadgets. Hotels
continue to operate, and militias provide security. The ongoing
civil disturbances and clan rivalries, however, have interfered with
any broad-based economic development and international aid
arrangements. In 2002 Somalia's overdue financial obligations to the
IMF continued to grow. Statistics on Somalia's GDP, growth, per
capita income, and inflation should be viewed skeptically.

GDP:
purchasing power parity - $4.361 billion (2003 est.)

GDP - real growth rate:
2.1% (2003 est.)

GDP - per capita:
purchasing power parity - $500 (2003 est.)

GDP - composition by sector:
agriculture: 65%
industry: 10%
services: 25% (2000 est.)

Population below poverty line:
NA

Household income or consumption by percentage share:
lowest 10%: NA
highest 10%: NA

Inflation rate (co